711.192/89: Telegram

The Minister in Panama (South) to the Secretary of State

[Paraphrase]

86. Legation’s number 82, September 8. Inasmuch as Department does not seem interested in President’s recent proposals in the matter of the proposed treaty, I have purposely avoided having any more informal conversations with regard to the treaty. The Department may rest assured that the formal negotiations have in no way been prejudiced. Nevertheless, this morning Mr. Morales notified me informally that President Porras would withdraw his request for the 400-meter water frontage in Colon, included in item 2 of my cable, and that the clause in the draft treaty which refers to a transfer of jurisdiction of a portion of Colon to the United States would be acceptable with the following provisos:

1.
That the United States would request no further extension of jurisdiction in Colon.
2.
That the boundary line would follow the course of the streets which latter were to remain under the jurisdiction of Panama.
3.
That the city of Colon should be permitted to determine in its discretion where the statue of Christopher Columbus should be located.
4.
That an allowance should be made to Panama to cover the cost of pavement, aqueducts and sewers in the area ceded to the United States, and
5.
That the jurisdiction over the Bay of Folks River, as provided in the draft already discussed with the Department, should be transferred to Panama, excluding the cession of marine cables.

The Panaman Government still adheres to the suggestion made in points 1 and 3 of my above telegram.

South